Straight Talk About Real Estate

What is the purpose of the final walk-through and when is it done?

The final walk-through is usually done about 5 days before closing escrow. The purpose is for the buyer to verify that the condition of the property is substantially the same as the day the contract was signed and that all agreed on repairs have been made.

Most contracts will state that the final walk-through is not a contingency to closing. That means, the buyer cannot say at the walk-through that he doesn’t like it and doesn’t want to buy the house afterall.

What happens if the condition of the house is not the same? An amount of money can be left in escrow from the seller’s proceeds to pay for the repair. Then escrow can close and the buyer can be assured that the seller will pay for the repair.

What if the house was still furnished during the walk-through and a problem is not discovered until after closing? The buyer has to remember that they are not buying a new house, and normal wear and tear are a part of the sale. However, it there is a major defect that was obviously known to the seller but was not disclosed, the buyer should first contact the seller asking them to remedy the problem. If they do not cooperate, then legal action should be taken.